BLUE LANTERN LEVEL 3: POST-SHIPMENT END-USE CHECK

UNCLAS STATE 123440

SIPDIS
NEW DELHI FOR REBECCA GARDNER
ECON

E.O. 12958: N/A
TAGS: ETTC KOMC IN
SUBJECT: BLUE LANTERN LEVEL 3: POST-SHIPMENT END-USE CHECK
ON LICENSE 05-1005761

REF: 2006 BLUE LANTERN GUIDEBOOK


1. This is an Action Request. See paragraphs 2-4.


2. The Department's Office of Defense Trade Controls
Compliance (PM/DTCC) requests Post's assistance in conducting
a post-shipment check on license 05-1005761 for the export of
International Traffic in Arms (ITAR)-controlled Integrating
Gyros to India. Post is requested to complete this Blue
Lantern inquiry within 45 days. Lack of response to a Blue
Lantern inquiry will affect pending and future licenses
involving parties to this license.


3. Reason for request: Due to the sensitivity of the
equipment and the potential for their diversion or misuse,
the Department is taking steps to ensure proper end-use.


4. Action: Post is requested to make inquiries to confirm
receipt and continued possession of the Integrating Gyros by
the Government of India, Ministry of Defense. Confirm that
all of them are being used only for the purpose stated on the
license. Department further requests that Post conduct a
site visit in order to gather and verify this information.
If a site visit is not possible, please obtain official,
written confirmation of receipt and possession of the
Integrating Gyros by the end-user, and inform the PM/DTCC
case officer. Finally, confirm the bona fides of Foreign
Consignee, The Tata Power Company, Ltd. in this transaction.

The following questions are provided as guidance:

--When was The Tata Power Company established and who are its
principals?

--What is the nature of its business? What other types of
defense-related items does it handle?

--What types of organizations are among its typical customers
and where are they located?

--Does the company have secure facilities and proper
accounting and security procedures for handling sensitive
United States Munitions List (USML) items?

--What is the exact end-use for these USML items?

--Does The Tata Power Company understand the restrictions on
USML items, especially the prohibition against unauthorized
re-transfer and re-export?

-- How long has this company been involved in business
operations with the Government of India; does it have a
regular business relationship with the Government of India,
Ministry of Defense?

END ACTION


5. Details of license application:

DTC Case: 05-1005761

QUANTITY/COMMODITY:

4 GG1111AJ (Series) Rate Integrating Gyros

License Value: USD 69,600.

COMMENT: According to U.S. export data, 4 Integrating Gyros
were exported to the Tata Power Company on 25 October 2006.

END COMMENT

SELLER:

Honeywell International
Honeywell Aerospace (Def. & Space)
2600 Ridgway Parkway
Minneapolis, MN 55413
Tel: (612) 951-6382

FOREIGN CONSIGNEE:

The Tata Power Company
42-43 Electronic City
Hosur Road
Bangalore 560 100
India

FOREIGN END-USER:

Government of India
c/o Aeronautical Development Establishment
Suranjan Das Road
CV Rama
Nagar-Bangalore 560093
India

PURPOSE:

For incorporation into the Falcon Nishant Tactical UAV System.


6. Submitted in support of the license application was the
following document (PM/DTCC will fax documentation to
Post upon request):

-- Department of State License for Permanent Export of
Unclassified Defense Articles and Related Unclassified
Technical Data with Provisos dated 05 October 2006.

7 Please slug reply for PM/DTCC - BLUE LANTERN COORDINATOR
and include the words "Blue Lantern" and the case number in
the subject line. POC is Rachael-Therese S. Joubert-Lin,
Phone: 202-663-2950; Email: JoubertLinRS@state.gov; SIPRNET:
JoubertLinRS@state.sgov.gov. The Blue Lantern Guidebook
(ref) is available as a PDF file at
http://www.intelink.sgov.gov/wiki/Blue Lantern End-Use
Monitoring Program.


8. Department is grateful for Post's assistance in this
matter.
CLINTON